Stock Market Update

The S&P 500 futures currently trade nine points above fair value.

Equity indices in the Asia-Pacific region had a mixed showing on Thursday with Japan's Nikkei (+0.3%) and South Korea's Kospi (+3.7%) reaching fresh records. Expectations for an April rate hike from the Bank of Japan have decreased, and are now just over 50%, after Prime Minister Takaichi nominated two policymakers, who are seen as dovish. The Bank of Korea left its policy rate at 2.50%, as expected. Governor Rhee said that South Korea's inclusion in the MSCI Developed Market Index could boost inflows of foreign capital.

• In economic data:
  • Japan's December Leading Index 111.0 (expected 110.2; last 109.9) and Coincident Indicator -0.6% m/m (expected -0.4%; last -1.0%)
  • Singapore's Q4 GDP 2.1% qtr/qtr (expected 1.9%; last 2.6%). January Industrial Production 5.3% m/m (expected 4.5%; last -0.3%); 16.6% yr/yr (expected 11.0%; last 10.9%)
  • Australia's Q4 Building Capital Expenditure 2.3% (last 2.3%) and Private New Capital Expenditure 0.4% qtr/qtr (expected -0.1%; last 6.4%)
  • New Zealand's February ANZ Business Confidence 59.2 (last 64.1)

---Equity Markets---

• Japan's Nikkei: +0.3%
• Hong Kong's Hang Seng: -1.4%
• China's Shanghai Composite: UNCH
• India's Sensex: UNCH
• South Korea's Kospi: +3.7%
• Australia's ASX All Ordinaries: +0.5%

Major European indices trade on a mostly higher note. The U.K.'s Labour party could lose a parliamentary seat after today's by-election in Manchester, though the result will not be known until tomorrow. Rolls-Royce reported strong results and raised its targets for 2028. The U.K. is preparing to announce a critical minerals deal with Kazakhstan. Iceland will hold a referendum on resuming EU accession talks.

• In economic data:
  • Eurozone's February Business and Consumer Survey 98.3 (expected 99.8; last 99.3). January Private Sector Loans 3.0% yr/yr (expected 3.1%; last 3.0%), January loans to nonfinancials 2.8% yr/yr (expected 3.1%; last 3.0%)
  • Italy's February Consumer Confidence 97.4 (expected 97.2; last 96.8) and Business Confidence 88.5 (last 89.2)
  • Swiss Q4 Employment Level 5.544 mln (last 5.532 mln)

---Equity Markets---

• STOXX Europe 600: +0.2%
• Germany's DAX: +0.4%
• U.K.'s FTSE 100: +0.2%
• France's CAC 40: +0.7%
• Italy's FTSE MIB: +0.3%
• Spain's IBEX 35: -0.1%